NORDIC AMERICAN TANKERS LTD (NAT)
BMG657731060 - Common Stock
Taking everything into account, NAT scores 6 out of 10 in our fundamental rating. NAT was compared to 213 industry peers in the Oil, Gas & Consumable Fuels industry. While NAT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on NAT.
1. Profitability
1.1 Basic Checks
In the past year NAT was profitable.
NAT had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: NAT reported negative net income in multiple years.
NAT had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of NAT (11.23%) is better than 69.34% of its industry peers.
NAT's Return On Equity of 18.33% is in line compared to the rest of the industry. NAT outperforms 55.19% of its industry peers.
NAT's Return On Invested Capital of 12.49% is fine compared to the rest of the industry. NAT outperforms 66.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.23% | ||
| ROE | 18.33% | ||
| ROIC | 12.49% |
ROA(3y)-2.39%
ROA(5y)-0.61%
ROE(3y)-4.42%
ROE(5y)-1.33%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 37.64%, NAT belongs to the top of the industry, outperforming 80.66% of the companies in the same industry.
NAT's Profit Margin has improved in the last couple of years.
NAT has a better Operating Margin (48.77%) than 83.49% of its industry peers.
NAT's Operating Margin has improved in the last couple of years.
NAT has a Gross Margin of 77.11%. This is amongst the best in the industry. NAT outperforms 84.43% of its industry peers.
In the last couple of years the Gross Margin of NAT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.77% | ||
| PM (TTM) | 37.64% | ||
| GM | 77.11% |
OM growth 3Y28.67%
OM growth 5YN/A
PM growth 3Y38.73%
PM growth 5YN/A
GM growth 3Y17.96%
GM growth 5Y17.01%
2. Health
2.1 Basic Checks
NAT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, NAT has about the same amount of shares outstanding.
NAT has more shares outstanding than it did 5 years ago.
The debt/assets ratio for NAT has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of NAT is 4.59, which is a neutral value as it means it would take NAT, 4.59 years of fcf income to pay off all of its debts.
NAT's Debt to FCF ratio of 4.59 is in line compared to the rest of the industry. NAT outperforms 57.55% of its industry peers.
NAT has a Debt/Equity ratio of 0.50. This is a neutral value indicating NAT is somewhat dependend on debt financing.
NAT has a Debt to Equity ratio of 0.50. This is comparable to the rest of the industry: NAT outperforms 48.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 4.59 | ||
| Altman-Z | N/A |
ROIC/WACC1.61
WACC7.76%
2.3 Liquidity
NAT has a Current Ratio of 1.55. This is a normal value and indicates that NAT is financially healthy and should not expect problems in meeting its short term obligations.
NAT has a better Current ratio (1.55) than 66.98% of its industry peers.
NAT has a Quick Ratio of 1.10. This is a normal value and indicates that NAT is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of NAT (1.10) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 683.33% over the past year.
NAT shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.40% yearly.
NAT shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -22.73%.
The Revenue has been growing by 16.15% on average over the past years. This is quite good.
EPS 1Y (TTM)683.33%
EPS 3Y11.4%
EPS 5YN/A
EPS growth Q2Q-52.94%
Revenue 1Y (TTM)-22.73%
Revenue growth 3Y-9.58%
Revenue growth 5Y16.15%
Revenue growth Q2Q-75.47%
3.2 Future
Based on estimates for the next years, NAT will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.87% on average per year.
The Revenue is expected to grow by 3.26% on average over the next years.
EPS Next Y33.45%
EPS Next 2Y21.99%
EPS Next 3Y13.87%
EPS Next 5YN/A
Revenue Next Year21.33%
Revenue Next 2Y12.62%
Revenue Next 3Y3.26%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
NAT is valuated reasonably with a Price/Earnings ratio of 8.02.
Compared to the rest of the industry, the Price/Earnings ratio of NAT indicates a somewhat cheap valuation: NAT is cheaper than 68.40% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 24.80. NAT is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 6.01, the valuation of NAT can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NAT indicates a rather cheap valuation: NAT is cheaper than 87.74% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.27, NAT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.02 | ||
| Fwd PE | 6.01 |
4.2 Price Multiples
NAT's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.97 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
NAT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NAT has a very decent profitability rating, which may justify a higher PE ratio.
NAT's earnings are expected to grow with 13.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y21.99%
EPS Next 3Y13.87%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 11.56%, NAT is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.80, NAT pays a better dividend. On top of this NAT pays more dividend than 92.92% of the companies listed in the same industry.
NAT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.56% |
5.2 History
The dividend of NAT is nicely growing with an annual growth rate of 43.90%!
NAT has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of NAT decreased in the last 3 years.
Dividend Growth(5Y)43.9%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
90.97% of the earnings are spent on dividend by NAT. This is not a sustainable payout ratio.
NAT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP90.97%
EPS Next 2Y21.99%
EPS Next 3Y13.87%
NORDIC AMERICAN TANKERS LTD
NYSE:NAT (4/18/2024, 6:59:35 PM)
After market: 3.7901 +0.02 (+0.53%)3.77
-0.08 (-2.08%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap787.18M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.56% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(8)
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Revenue beat(2)
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PT rev (1m)
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EPS NQ rev (1m)
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EPS NY rev (3m)
Revenue NQ rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.02 | ||
| Fwd PE | 6.01 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.24
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.23% | ||
| ROE | 18.33% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 48.77% | ||
| PM (TTM) | 37.64% | ||
| GM | 77.11% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)683.33%
EPS 3Y11.4%
EPS 5Y
EPS growth Q2Q
EPS Next Y33.45%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-22.73%
Revenue growth 3Y-9.58%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y